There are two forms of BPO Exterior or Drive BY and an Interior / Full BPO. Exterior BPO just require an outside examination or drive by, while other BPOs are both interior and exterior requiring you to enter inside the subject property. BPO Fees vary from $40 to $150. Some agents even negotiate their price with each BPO company to maximize their pay per/BPO.
BPO or Brokers Price Opinion is the great way for Real Estate Agents to make extra income. BPO is similar to completing an appraisal for a bank. Appraisals are more detailed and time consuming, where as completing BPO is much easier.
Completing BPO’s for various banks builds a relationship and skills in pricing Banks REO or Pre-Foreclosure properties. This skill will help you Fine and Tune your REO pricing skills. Now you will ask what Do I Mean by “Fine and Tune your Skills”. What I mean by that is once you learn how to evaluate a Pre-Foreclosure or a Reo property then you will increase your chances in getting REO listings directly from the Lenders. Lender/Banks look for Real Estate Agents Who have some skills in evaluating a Distress property. Banks Ultimate goal is to sell their REO inventory fast and get their investment back.